LANSING — The state Senate today voted 23-15 to pass a replacement emergency manager act that the Snyder administration says gives distressed local units of government more options and better financial support than a 2011 law, Public Act 4, that voters rejected Nov. 6.

The new proposed law gives financially distressed cities and school districts four options once a financial emergency is determined: a consent agreement; mediation; an emergency manager; or Chapter 9 bankruptcy. In another change from PA 4, the state — rather than the cash-strapped local unit — will pay the salary of the emergency manager and other related costs. The bill also provides improved guidance on how a city or school district can exit from receivership.

Democrats who voted against the bill and other opponents say the bill is too similar to the controversial former law, Public Act 4, and should not be approved.

The Local Financial Stability and Choice Act was passed 63-46 by the state House Wednesday and is now headed to Gov. Rick Snyder, who is expected to sign it. The House did not grant the bill immediate effect, so it would take effect next March.

“The voters said no to this overreach by the state,” Sen. Bert Johonson, D-Highland Park, told the Senate Thursday. “Here we are, doing it again.”

“Cities have the right to govern themselves. When they need help, we should work in partnership.”

But Sen. Phil Pavlov, R-St. Clair, spoke in support of the legislation.

“The voters were opposed to a forced emergency manager,” Pavlov said. “What we’ve done with this bill is offer some options.”

Greg Bowens, a spokesman for Stand up for Democracy, the group that organized a successful referendum to repeal PA 4, said today the group is considering legal challenges and other options.

“This one in many aspects is just as onerous and dictatorial as the last one,” Bowens said.

Since the suspension and repeal of PA 4, the state has relied on that law’s predecessor, PA 72 of 1990, which provides for emergency financial managers with powers the Snyder administration says are not sufficient to meet the needs of cities and school districts in distress — like the ability to unilaterally void union contracts.

Flint, Benton Harbor, Pontiac and Ecorse, as well as Detroit Public Schools and other school districts, had their emergency managers converted to emergency financial managers without the power to unilaterally scrap or amend collective bargaining agreements.

Detroit is under a consent agreement, but the state recently began a financial review that could lead to appointment of an emergency financial manager for Detroit.

The bill includes an appropriation which makes it referendum-proof. But Bowens said it could still be revoked through a citizen initiative, which requires collection of a higher volume of signatures.